Those three words are where things get complicated. In a general sense red tape is the difference between a laissez faire economy and a free market economy, if you mean government regulation when you say red tape. Though by red tape you might also mean anti-competitve regulations implemented at the behest of a firm or sector of the economy. In that case it is still very important to acknowledge that free markets are not a natural state, and require regulation of some form to remain functional or even exist.

It's hard to build a free market when you have an embargo and a huge pressure from the outside world